TIFA Report Shows Kenyans are Poorer Under Ruto
A report by TIFA Research shows that Kenyans are poorer and living in a worse economic state than one year ago when former President Uhuru Kenyatta handed over the instruments of power to current Head of State William Ruto.
The report published on Tuesday, September 12, noted that as high as twenty-five million Kenyans are living in abject poverty due to hard economic hardships.
The contributing factors to the difficult economic situation include; unemployment and the high cost of living which is a result of the high cost of goods and services in the country.
“Majority of Kenyan households, making up to 53 percent, believe that their living standards are worse than one year ago,” the report highlighted.
There was a general agreement by the respondents, including supporters of President William Ruto that life had become unbearable for many families.
“However, even if a plurality of Government supporters likewise hold this negative view (41 percent), far more Opposition supporters do so (70 percent), which also applies to those professing no political alignment (56 percent),” the statement read in parts.
TIFA Research found that the median household income in Kenya has significantly declined as many people struggle under the weight of skyrocketing inflation and the drought that engulfed the country in early 2023.
It was noted that the poorest households have been disproportionately affected by the economic downturn leading to the widening of the gap between the rich and the poor in the country.
“Among income earners, the vast majority report earning less than Ksh20,000 a month (53 percent).
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“However, a significant proportion were either unsure of their recent monthly income or declined to answer the question (25 percent),” the report read in parts.
According to TIFA Research, the median income for the poorest households which previously supported many people, has declined in a major way over the past year.
This means that these households are now struggling even more to meet their basic needs, a demonstration of a worrying sign for the Kenyan economy.
“Among those who report currently working and earning any income (and who specify such earnings), most are in self-employment (36 percent),” the TIFA report highlighted.
It suggests that the country is still struggling to recover from the impact of the COVID-19 pandemic and the drought, and the government needs to take urgent action to address the economic challenges facing Kenyan households.
“Comparing their personal/household economic situation with that of one year ago. Only one-fifth of Kenyans, which represents 21 percent of Kenyans consider that it has improved,” the report read in parts.
The report highlights the need for the government to increase social safety net programs to provide financial assistance to the poor and vulnerable.
One of the major concerns of the respondents is the question of high taxation, and the need to reduce taxes and levies on essential goods and services as previously instituted by former President Uhuru’s administration.
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Data from the Kenya National Bureau of Statistics shows that the average monthly income for Kenyan households is Ksh20,123.
However, there is a wide range of incomes, with the poorest households earning much less than this and the richest households earning much more.
According to a 2022 survey by the Kenya National Bureau of Statistics (KNBS), the income ranges for Kenyan households include the poorest category which makes up 20 percent of the national population, earning less than Ksh5,000 per month.
The second category, also 20 percent of the national population, earns between Ksh5,001 to Ksh10,000 per month.
The middle class in Kenya is defined as households that spend between Ksh23,670 and Ksh199,999 per month. This means that the average middle-class household in Kenya has an income of Ksh166,249 per year.
The income of Kenyan households varies depending on several factors, including location, education, occupation, and gender.
For example, households in urban areas tend to have higher incomes than households in rural areas.
Households headed by a person with a college education also tend to have higher incomes than households headed by a person with no formal education.
The income of Kenyan households is also affected by the state of the economy. During economic booms, incomes tend to rise, while during economic recessions, incomes tend to fall.
The income of Kenyan households is an important factor in determining their quality of life. Households with higher incomes can afford better housing, food, education, and healthcare. They are also less likely to live in poverty.
TIFA Report Shows Kenyans are Poorer Under Ruto
